Category Archives: fofabvlic

Longevity bigger risk than rates to corporate DB, says Fitch

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first_imgThe agency said yields for corporate bonds used in International Financial Reporting Standards (IFRS) would eventually rise and reduce liabilities on that front.“It would take discount rates to move from the current 3.5% to 4.7% to wipe out the current average deficit of £2.7bn based on our sample of UK corporates,” it said.“Low rates have been the main factor behind big increases in corporate pension deficits in the UK and Germany.“But interest rates are expected to increase in the medium term, which will eventually at least partially reverse the deteriorating deficits.“An increase in longevity beyond what has already been factored into expected pension obligations, however, would lead to an increase in deficits and would be highly unlikely to be reversed.“Historically, pension schemes have tended to underestimate these improvements, suggesting their longevity assumptions may have to be revised up,” Fitch’s report added.Fitch said there were few significant changes in longevity assumptions used in company pension scheme accounting in 2014 compared to 2013.The ratings agency said expected increases in interest rates and longevity could offset each other, with its impact on funding depending on the timing of the change, the discount rate and investment returns.“If the longevity assumption improves further in future – the pension deficits will follow suit,” it added. Fitch Ratings has warned German and UK companies that defined benefit (DB) scheme deficits are more susceptible to longevity than low interest rates.The ratings agency said that while a fall in discount rates used by DB schemes had recently driven up liabilities, its impact was not a serious as long-term increases in longevity.It calculated that in 19 UK and 14 German listed companies analysed, deficits rose 38% and 44%, respectively, over the course of 2014 – in both cases driven by low interest rates.However, for the UK schemes, Fitch suggested an increase in longevity assumptions by two years would immediately add £1.3bn, or 9.2%, to average deficits in its sample – and would be very unlikely to reverse.last_img read more

Janwillem Bouma elected as chair of PensionsEurope

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first_imgJoanne Segars has stepped down as chair of PensionsEurope after three years in the role, to be succeeded by Janwillem Bouma.Bouma, managing director of Shell’s Dutch pension fund, will begin his term immediately.A member of the Dutch Pension Federation’s board, Bouma only joined PensionsEurope’s board earlier this year following the departure of Benne van Popta.Bouma also succeeded Van Popta as a member of the European Insurance and Occupational Pensions Authority’s pensions stakeholder group. Bouma joined Shell in 1987 and has worked in various areas of finance for the business since then.He served as CFO at Shell Sulphur until 2010, when he was named managing director of Shell’s defined benefit fund.In 2013, he became executive director of its new defined contribution arrangement.He also sits on the board of the ANWB Pension Fund, the scheme for employees of the Dutch automotive association.Bouma paid tribute to Segars’s three years as chair, which saw her succeed Patrick Burke as chair of the European Federation of Retirement Provision, later rebranded as PensionsEurope, and laid out his vision for his time as chair.“Working together with the European institutions to develop practical solutions for the challenges we face in pensions, I will do my utmost to ensure our voice is heard by the European institutions and to promote good pensions for the citizens of Europe,” Bouma said.“The review of the IORP Directive will be essential, but we will also be working on cross-border issues and our role in providing long-term investments in this uncertain economic environment.”The association’s general assembly also re-elected Pierre Bollon of France’s AFG and Jerry Moriarty of the Irish Association of Pension Funds as its vice-chairs.Segars will remain a member of the board in her capacity as chief executive of the UK’s Pensions and Lifetime Savings Association.PensionsEurope also welcomed two new member associations, the Bulgarian Association of Supplementary Pension Security Companies (BASPSC) and the Lithuanian Investment and Pension Funds Association (LIPFA). BASPSC represents nine member companies worth €4.5bn, while LIPFA represents the interests of companies in Lithuania’s decade-old second pillar, now worth €2bn.Matti Leppälä, PensionsEurope’s director general, stressed the importance of further associations joining from Central and Eastern European (CEE) countries.He said: “It is important we grow stronger in the CEE region, and we hope others will follow the Bulgarian and Lithuanian example, so their voice can be heard at EU level too.”last_img read more

Allianz France launches €13bn pension financing vehicle

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first_imgAllianz France has launched a €13bn “fonds de retraite professionelle supplémentaire (FRPS), a new type of financing vehicle that some French insurance-based pension providers have been setting up.Regulatory approval for the creation of the vehicle, which Allianz France has named Allianz Retraite, was granted last week, according to a statement.Now housing the retirement business previously assigned to Allianz France, it has €13bn in assets covering 650,000 individuals and 20,000 companies.A key feature of the FRPS vehicles is that they are not subject to Solvency II requirements. “Allianz France has chosen to transfer all its retirement activities to Allianz Retraite, which will be able to invest over the long term in line with the investment horizon of policyholders,” said Sylvain Coriat, member of the insurer’s executive committee of Allianz France.“Freed from the short-term constraints of Solvency II regulations, this entity will be able to invest sustainably in equities, infrastructures and support for the national economy, thanks to a solid solvency which will exceed four times the regulatory margin.”The creation of the FRPS comes after the insurer earlier this year launched two new defined contribution retirement savings solutions, one for individuals and one for employers, under the Plan d’Epargne pour la Retraite (PER) wrapper introduced by the PACTE reform.“As a long-term player, Allianz France is pleased that the PACTE law has given new impetus to group retirement savings products,” said Jacques Richier, chair and CEO of Allianz France.“The time was therefore ideal to create our FRPS. It will allow Allianz France to support employees and the liberal professions* in preparing for their retirement.”Aviva, Malakoff-Médéric and Sacra are other among five other providers that have set up FRPS vehicles and as far as IPE is aware Allianz’s is the largest by assets.*Liberal professions refers to a wide-ranging regulated category of self-employed occupations in France.Looking for IPE’s latest magazine? Read the digital edition here.last_img read more

First homebuyer interest spikes as interest rate cut looms

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first_imgPrime Minister Scott Morrison visiting a residential building site to speak with young families about the Coalition’s First Home Loan Deposit Scheme. Picture: Gary Ramage.Independent property analyst Michael Matusik is tipping two 0.25 per cent rate cuts in the second half of this year — one in July or August and the second drop in November. “And I wouldn’t be surprised if the cash rate fell to 0.75 per cent sometime in the first half of 2020,” Mr Matusik said.AMP Capital chief economist Shane Oliver said it was possible the RBA would cut rates in June, but could wait a bit longer. First-home buyers, left, watch as an auctioneer calls for bids at a house auction.THE number of first home buyers looking to jump into the housing market has spiked in anticipation of an interest-rate cut next week.There has been a 55 per cent rise in visitors to first homebuyer guides this month — the biggest increase in a year — according to comparison site, Finder.In just the past week, seven lenders lowered their rates on owner-occupier fixed and variable home loan products as demand for mortgages increases, with the lowest variable rate on the market currently 3.29 per cent. RELATED: Buyers still keen on new units The Reserve Bank of Australia is widely expected to cut interest rates at its June meeting. Photo: Saeed Khan/AFP.An increasing number of economists are expecting an interest-rate cut of 0.25 per cent when the Reserve Bank of Australia meets next Tuesday — the first change to the cash rate in almost three years.Finder insights manager Graham Cooke said it was a strong indication first home buyers were finally seeing an opportunity to break into the market.“There’s a perfect storm brewing for first home buyers,” Mr Cooke said.“Property prices are dipping, lenders are dropping their rates and a first homebuyer’s scheme is on the cards.“After 31 months of no change, all signs are pointing to a cash rate cut next Tuesday. The expected move is causing a flurry of rate drops among lenders, especially on the fixed home loan front.” Home loans are set to become cheaper in the wake of the newly elected Coalition government.Mr Oliver said the federal government’s First Home Buyer Deposit Scheme, the end of threats to negative gearing and capital gains tax, APRA’s move to lower hurdles to getting first-home loans and the likelihood of the official interest rate being cut were gamechanging for the housing market.“These developments taken together are big,” Mr Oliver said.“They suggest that property prices will bottom earlier than otherwise and we can see that later this year.”center_img First homebuyer confidence is returning to the Australian housing market. Photo: AP/Keith Srakocic.But Mr Cooke said potential buyers should be careful about taking advantage of the Coalition’s proposed First Home Loan Deposit Scheme.More from newsParks and wildlife the new lust-haves post coronavirus12 hours agoNoosa’s best beachfront penthouse is about to hit the market12 hours ago“A lower deposit will add more cost to your loan in the long term, and the increased risk to the bank may mean a higher interest rate,” he said.“However, the potential savings from this scheme could be significant.” MORE: Star builders’ new home for sale First homebuyer interest has spiked in anticipation of an official cut to interest rates.Under the scheme, first home buyers in Brisbane could be getting on the property ladder with a deposit of just $27,500 for a $550,000 house.Marcel Thieliant of Capital Economics expects the RBA to cut interest rates to 1.25 per cent in June, followed by another 25 basis point cut in August.“We expect the RBA to cut rates to 0.75 per cent by year end,” he said.CommSec is also pricing in a rate cut in June and the possibility of another in August, as is RBC Capital Markets. last_img read more

Deltares, Wageningen University: New Approach to Hydrological Modelling

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first_imgWater managers are continuously making decisions to guarantee water safety. These decisions relate to the short term, for example ongoing droughts or, precisely, when there is a risk of flooding. But they can also affect the long term given the more extreme events caused by climate change. All these decisions have one thing in common: they are often grounded on results from hydrological models.Researchers from Deltares and Wageningen University studied a new design for a model of this kind for the Rhine. The results were published recently in the AGU journal ‘Water Resources Research’.Designing a model like this and setting it up for a specific river basin involves a lot of challenges. In particular, setting up the parameters of the model is often thought to be a difficulty. Parameters in a hydrological model are used to link the behavior of the model to that of the river for which the model is set up.Current hydrological models are spatially distributed, which means that they divide the river basin into small cells of, for example, one square kilometre. A set of parameters are in place for each cell.“Until now, the parameter values were determined using calibration methods that were applied to all the model parameters. However, with the ongoing increase in spatial resolution that we use to model river basins, this approach is becoming an unattainable multidimensional challenge,” said Deltares.In this study, the parameters of a hydrological model were estimated using experimental functions from the literature that have been derived in laboratories worldwide.The functions use freely available information about the locality – such as soil, vegetation and land use data – to estimate physical properties.last_img read more

‘FALSE CLAIMS’: PECO asks ERC to reverse CPCN order

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first_imgSection 17 of Republic Act 11212, MOREPower’s franchise, explicitly states that “Panay Electric Co. shall in theinterim be authorized to operate the existing distribution system.” “I was so shocked when I was informedby the sheriff that apparently MORE Power had changed its mind,” stressedElamparo, recounting following up the information on the writ. “The response ofthe sheriff was ‘yun po ang sabi ngMORE Power eh, wala na kami magawa.’” In its Motion, PECO pointed out that ERCcommitted a “reversible error” when it granted MORE Power a ProvisionalAuthority. PECO’s Urgent Motion forReconsideration at ERC insisted it was “inaccurate” and “misleading” for MORE Powerto claim it had taken full control of the operation of the distributionfacilities based on what had transpired. According to Elamparo, such authoritycould only be granted if MORE Power had its own distribution system and thefull transition of operations from PECO had been completed. “What verified and authenticateddocuments were submitted? None. Zero. They only submitted a Manifestation withUrgent Motion for Early Resolution,” according to Elamparo, which contained “falsehoods”and mere “say-so”. “They can’t submit anything other thantheir misinterpretations,” she lamented.  PECO further asserted that theissuance of MORE Power’s Provisional Authority was based on “seriousmisrepresentations and misapprehension of facts.” On March 5, ERC in a three-pageresolution granted MORE Power a Provisional Authority to operate. MORE Power’s application was notsupported by verified and authenticated documents or affidavits as required bySection 8 of Executive Order No.172 creating the Energy Regulatory Board, PECOstressed. “This is an illegal corporatetakeover,” said PECO head of Public Engagement and Government Affairs MarceloCacho in a press briefing on March 9. “They have taken over our facilities,they are trying to get our own employees, and they are trying to usurp ourcontracts as well as our distribution rates.” MORE Power has not yet fullytransitioned towards full operations and cannot prove its financial andtechnical capabilities, according to Cacho. “PECO is the only entity in Iloilothat is registered with WESM and to this day, it is the one that gets billed bysaid entity for power purchases through it, as evidenced by the WESM bill sentto PECO,” the long-time power distributor pointed out. ILOILO City – Panay Electric Co. (PECO)has asked the Energy Regulatory Commission (ERC) to reverse the latter’s orderrevoking the power distributor’s Certificate of Public Convenience and Necessity(CPCN). PECO accused rival MORE Electric and Power Corp. (MORE Power) of makingfalse claims that led to ERC’s decision to transfer power distribution rights. Furthermore, during a March 2 hearingat the Iloilo RTC, Branch 23, according to Elamparo, it was raised that basedon the Sheriff’s Return on the Writ of Possession, the sheriff mentioned thatboth MORE Power and PECO agreed that “the status quo of the electric operationwill be maintained.” center_img Under such principle, contracts canonly bind the parties who entered into it and cannot favor or prejudice a thirdperson.  “The fight is far from over. Wecaution MORE Power from prematurely celebrating and informing everybody thatthey are in control,” said Elamparo./PN “Had the Honorable Commission foundthat MORE Power is technically and financially capable of operating thedistribution system, then why would it authorize MORE Power to source its powerrequirements from the current power generation suppliers of PECO,” PECO pointedout. “If MORE Power truly wanted to fulfillits mandate of providing a public service, then it would focus less on takingand instead do more building,” read the PECO motion. “Even the taking, however,is being done illegally.” A 25-page Urgent Motion forReconsideration was filed yesterday by Atty. Estrella Elamparo, PECO legalcounsel, praying for the reinstatement of PECO’s CPCN and the revocation ofMORE Power’s Provisional Authority until the situation on the ground had beenthoroughly examined. It further stated the revocation of itsCPCN was also an error as MORE Power had yet to prove its financial andtechnical capabilities to operate.  MORE Power proceeded with the“violent” takeover, said Elamparo, but Judge Emerald Requiña-Contreras ofIloilo RTC, Branch 23 reiterated that her Addendum clearly stated that “theoperation should still be handled by PECO personnel who have the technicalexpertise” and that MORE Power was only meant to observe during the transition”and subsequently ordered MORE Power to return operations to PECO. Also, it is currently only PECO thatpurchases power for distribution on a daily basis through its current powersupply contracts from the Wholesale Electricity Spot Market (WESM). Despite the pending Supreme Court caseregarding the constitutionality of MORE Power’s franchise, the Iloilo Regional TrialCourt, Branch 23 issued a Writ of Possession, to which PECO filed a Motion forClarification and a Petition for Certiorari with the Court of Appeals in Cebu. PECO further emphasized that authorizingMORE Power to source power requirements from PECO’s current power generationsuppliers violates the principle of relativity of contracts as stated inArticle 1311 of the Civil Code. What’s happening on the ground,however, was far different, she stressed. PECO lawyer Estrella Elamparo. IAN PAUL CORDERO/PN He also pointed out that there wereonly 40 formerly contractual PECO employees who transferred to MORE Power’semploy and only one supervisor. last_img read more

Injury could spell end of basketball career for Hoeing

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first_imgBryan Hoeing (left) and coach Aaron Garrett last season after Hoeing scored 1,000 career point.BATESVILLE, Ind. – Batesville was on the losing end of a 62-47 game against Greensburg Saturday. It was another loss that has fans talking today.Coach Aaron Garrett confirmed Monday that senior Bryan Hoeing suffered a torn ACL during the game.“I love the kid and do feel anger that my distinct privilege and honor of coaching him has been cut short. It has been a difficult couple of day,” Garrett said in a Facebook post. “Bryan will look to recover by late Spring and continue his baseball exploits.”Hoeing signed a letter of intent to play baseball at the University of Louisville next year.The injury garnered social media reaction:Hope my dude @BryanHoeing is okay, nothing but respect for you man. Hope it’s nothing serious and you’re back on the court soon— Ryan Welage (@RyanWelage32) December 7, 2014Makes me sick hearing about @BryanHoeing and his injury. Hoping for a speedy recovery. Big things are on the horizon!— Alex Meyer (@Meyer17A) December 8, 2014last_img read more

Everton fans laud Iwobi’s outing against Norwich City

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first_imgEverton fans are still celebrating the heart-warming outing of Nigeria’s Alex Iwobi against Norwich City. Everton defeated relegation scrapping Norwich City in the Premier League this evening courtesy of Michael Keane’s headed effort. It was a good result for the Toffees from what was a fairly insipid display at Carrow Road. Not many of the Everton players found themselves in the fans’ good books on social media, but one who did was Alex Iwobi. The Nigerian put in an impressive display, particularly in the second half, as Everton battled their way to a narrow victory.Advertisement Featuring on the right-wing, the attacker put in a tireless display in which he showcased some of his finer touches and qualities before coming off for Anthony Gordon in the 89th minute. Indeed, one Everton fan even compared Iwobi to his uncle, Premier League cult hero Jay-Jay Okocha. read also:EPL: Iwobi fires blank as Everton frustrate Liverpool to barren draw at Merseyside derby Everton fans will no doubt be pleased to see such a display. For much of this season, Evertonian’s have been giving Iwobi some stick for his lack of impressive displays and telling contributions. Signed for a reported (Independent) £35 million after Everton struggled to secure the signature of Wilfried Zaha he has struggled to show himself worthy of the hefty price-tag. Everton fans will just be hoping it is the start of a consistent turnaround in fortunes for the Nigerian. FacebookTwitterWhatsAppEmail分享 Loading… Promoted Content18 Cities With Neverending Tourist-FlowHow They Made Little Simba Look So Lifelike in ‘The Lion King’Top 10 Must-Know Facts About Ivanka Trump7 Train Stations In The World You Wish To Stay At Longer5 Of The World’s Most Unique Theme ParksWho Earns More Than Ronaldo?Fascinating Ceilings From Different CountriesPortuguese Street Artist Creates Hyper-Realistic 3D GraffitiPretty Awesome Shows That Just Got Canceled8 Shows You Didn’t Want To Watch At The End8 Superfoods For Growing Hair Back And Stimulating Its GrowthBest Car Manufacturers In The Worldlast_img read more

Squash: Nigerian players to participate in world championship after 20 years – Official

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first_imgRelatedPosts Gov. Abdulrazaq reiterates support for sports  Squash Federation organizes referee course in Lagos Nigerian squash players will participate this year in the Men’s World Team Championship for the first time in 20 years, a Nigeria Squash Federation official said on Monday. Wilson Egberipou, chairman of the WTC committee, told newsmen on Monday in Abuja the tournament was necessary to expose players. He said: “The first time we participated in the WTC was in 1999, and this will be our second time. “This new board, led by Boye Oyerinde, is aware of the opportunities and benefits for our players while participating in such events. “Now it has decided to take the bull by the horns to ensure Nigeria is represented at the WTC. “The players will be well exposed, while international scouts will also be present at the event and our players will also be listed on the Professional Squash Association rankings.” Egberipou, who is a board member of NSF, disclosed that 22 players were already in an open camp in Abuja for trials ahead of the world event. He said: “A total of 22 players are undergoing trails ahead of the WTC. Eight out of them will be selected for a close camping at Ilorin in October for the first phase camping. “The second phase will be in November in the US, which is also the venue of the championship. In the end, four players will be traveling. “We are putting a lot in motion to ensure the team gets the best for a good outing this time around.” The tournament is scheduled for December 14 to December 22 in Washington DC, US.Tags: Boye OyerindeWilson EgberipouWorld Team Championshiplast_img read more

Cricket News Mutual respect between Virat Kohli and MS Dhoni is massive: Ravi Shastri

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first_imgNow, in an interview with Mirror Now, the coach of the Indian cricket team Ravi Shastri has spoken about the mutual respect between Kohli and Dhoni. “Each one has his own style and each one is different. When you mention Virat and MS, yes, they are different, the way they play and the way they captain. MS was the senior man when Virat was coming through the ranks. Virat gave him the respect he deserved. Now MS is not the captain, Virat is, so MS does the same thing. The mutual respect for each other is massive and that’s all you want as a coach,” Shastri said.However, the absence of Dhoni was felt during India’s two losses in the Mohali and Delhi ODI. The spinners struggled for direction and Rishabh Pant, who had replaced Dhoni, was struggling to keep up and missed some crucial chances. The ICC Cricket World Cup 2019 is expected to be Dhoni’s swansong. India will play their opening game against South Africa on June 5 at the Rose Bowl in Southampton. MS Dhoni did not play the last two ODIs in Mohali and Delhi.India lost the five-match ODI series 2-3 to Australia.India lost an ODI series at home for the first time since 2015. For all the Latest Sports News News, Cricket News News, Download News Nation Android and iOS Mobile Apps. New Delhi: There have been lot of stories regarding the relationship between MS Dhoni and Virat Kohli. When Dhoni relinquished the captaincy of the Indian cricket team in January 2017 and Kohli took over, there were stories circulating that there was a rift in the Indian dressing room. However, Kohli cleared the air during Gaurav Kapoor’s Breakfast With Champions show when he said that having Dhoni in the Indian dressing room is a blessing and that both do not read the newspapers about what is written on them.  “I don’t think I’ve come across a better cricketing brain just in terms of planning and knowing what’s happening in the game and what can be done. Sometimes I like to follow my own instinct as well but whenever I ask him anything 8 or 9 out of 10 times he always tells you things that work. So it’s a blessing to have him,” Kohli said.The relationship between Kohli and Dhoni has grown stronger in the last couple of seasons. On the field, Kohli is the captain but it is Dhoni who directs the show. The former India cricket skipper is still actively directing the field and telling the bowlers what line and length to bowl. Kuldeep Yadav and Yuzvendra Chahal, the two spinners in the Indian cricket team, have testified to the power of Dhoni behind the stumps. highlightslast_img read more